etf

Nuveen to Launch 5 Treasury Index ETFs, Announces Monthly Tax-Free Dividends for Closed-End ETFs

etf

Chicago-based Nuveen Investments announced that it plans to launch the first exchange-traded funds (ETFs) that track U.S. Treasury Indexes. The new ETFs will be called Fixed Income Trust Receipts (FITRs) and will be based on Ryan Treasury Indexes of 1-year, 2-year, 5-year, and 10-year Treasury issues and 20-year Treasury STRIPs.

STRIPs, which stands for Separate Trading of Registered Interest and Principal Securities, are created by bond dealers by dividing individual interest-paying securities into component cash flows and selling each one separately. When a bond gets "stripped" of its interest payments, it becomes a zero-coupon bond. The owner is not paid any interest, but buys the right to repayment of principal at a discount to the face value.

The new ETFs will be traded on the American Stock Exchange (AMEX), pending final regulatory approval.

The Nuveen funds will track Ryan Treasury Indexes, the first set of bond indexes developed by Ronald J. Ryan in 1983. Ryan previously served as Director of Fixed Income Research at Lehman Brothers before he left in 1982 to found a fixed-income quantitative research firm that would later become Ryan Labs, Inc.

Below is a table that lists historical performance of Ryan Treasury Indexes that the Nuveen ETFs will be based upon, as of 11/30/2000.

Index name
10 yr.*
5 yr.*
3 yr.*
1 yr.
1 mo.
Ryan 12 mo. Bill
5.71%
5.60%
5.29%
5.99%
0.71%
Ryan 2 year TSY
6.22%
5.28%
4.98%
6.26%
1.01%
Ryan 5 year TSY
7.11%
5.46%
5.54%
9.00%
1.98%
Ryan 10 year TSY
7.71%
5.44%
5.20%
9.76%
2.82%
Ryan 20-year Strips
12.80%
8.86%
8.57%
32.31%
n/a

* annualized returns               Source: Ryan Labs, Inc.[/:Author:]
The new Treasury Index ETFs may be attractive to many investors in 2001 should stock prices continue to sag. "These new ETFs will make buying and selling Treasury securities as convenient as buying and selling stocks," said Gary Gastineau, Managing Director of ETF Product Development at Nuveen. "They will benefit both retail and institutional investors."

Nuveen Closed-End Exchange-Traded Funds and Portfolios Declare Monthly Tax-free Dividends

Sixty closed-end Nuveen exchange-traded funds and portfolios declared their monthly dividends today. In October, Nuveen announced its plans to launch its first open-ended ETF based on the America's Fastest Growing Companies Index, an index comprised of 500 small cap companies that meet specific earnings growth criteria.

All of the listed dividends, excepting the Nuveen Senior Loan Fund, are tax-free.

Record Date: 1/15/2001
Ex-Dividend Date: 1/10/2001
Payable Date: 2/1/2001

Exchange-Traded Portfolios

Ticker
Portfolio name
Dividend per share ($)
NXP
Select Portfolio
.0750
NXQ
Select Portfolio 2
.0725
NXR
Select Portfolio 3
.0680
NXC
Insured CA Select Portfolio
.0660
NXN
Insured NY Select Portfolio
.0650

Source: Nuveen Investments[/:Author:]
Non-Leveraged ETFs

Ticker
Fund name
Dividend per share ($)
NUV
Municipal Value
.0425
NCA
CA Municipal Value
.0430
NNY
NY Municipal Value
.0425
NMI
Municipal Income
.0585
NIM
Select Maturities
.0525

Source: Nuveen Investments[/:Author:]
National Leveraged ETFs

Ticker
Fund name
Dividend per share ($)
NPI
Premium Income
.0645
NPP
Performance Plus
.0670
NMA
Advantage
.0700
NMO
Market Opportunity
.0720
NQM
Investment Quality
.0695
NQI
Insured Quality
.0700
NQS
Select Quality
.0720
NQU
Quality Income
.0760
NIO
Insured Opportunity
.0715
NPF
Premier
.0765
NIF
Premier Insured
.0720
NPM
Premium Income 2
.0730
NPT
Premium Income 4
.0665
NPX
Insured Premium 2
.0600
NAD
Dividend Advantage
.0705

Source: Nuveen Investments[/:Author:]
California Leveraged ETFs

Ticker
Fund name
Dividend per share ($)
NCP
Performance Plus
.0745
NCO
Market Opportunity
.0755
NQC
Investment Quality
.0765
NVC
Select Quality
.0760
NUC
Quality Income
.0785
NPC
Insured Premium Income
.0695
NCL
Insured Premium Income 2
.0645
NCU
Premium Income
.0640
NAC
Dividend Advantage
.0670

Source: Nuveen Investments[/:Author:]
Florida Leveraged ETFs

Ticker
Fund name
Dividend per share ($)
NQF
Investment Quality
.0740
NUF
Quality Income
.0735
NFL
Insured Premium Income
.0640

Source: Nuveen Investments[/:Author:]
New York Leveraged ETFs

Ticker
Fund name
Dividend per share ($)
NNP
Performance Plus
.0725
NQN
Investment Quality
.0690
NVN
Select Quality
.0725
NUN
Quality Income
.0710
NNF
Insured Premium Income
.0665
NAN
Dividend Advantge
.0650

Source: Nuveen Investments[/:Author:]
Other State Leveraged ETFs

Ticker
Fund name
Dividend per share ($)
NAZ
AZ Premium Income
.0680
NTC
CT Premium Income
.0680
NPG
GA Premium Income
.0640
NMY
MD Premium Income
.0650
NMT
MA Premium Income
.0680
NUM
MI Quality Income
.0735
NMP
MI Premium Income
.0675
NOM
MO Premium Income
.0615
NQJ
NJ Investment Quality
.0765
NNJ
NJ Premium Income
.0675
NNC
NC Premium Income
.0625
NUO
OH Quality Income
.0750
NQP
PA Investment Quality
.0760
NPY
PA Premium Income 2
.0650
NTX
TX Quality Income
.0715
NPV
VA Premium Income
.0670

Source: Nuveen Investments[/:Author:]
Senior Loan ETF

Ticker
Fund name
Dividend per share ($)
NSL
Senior Income Fund
.0900